Tag Archives: construction projects

High attrition can have a larger impact on construction projects

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In a construction business, employees from different departments play a crucial role in the overall development of the project. You want the project to end on time; you need to ensure that you have you men/women by your side and if that is there you can end up completing it within the given deadline. However, if your men/women leave the company for any reason the prospect of the project ending on time gets jeopardized. This is why it is so important to ensure that the attrition rate of a construction business is low. You got to take good care of your employees and see that they do not leave the company for any silly reasons. Reasons can be tackled and settled by sitting together and having a discussion. This is precisely the task of the management would be. They need to talk to the lot who are disgruntled from some reason or the other and try to root out the issue from its core.

Skilled men/women get jobs easily:-

People who work as unskilled laborer may have a hard time getting another job if they ever want to leave their existing one but for the ones who are skilled it is never a problem for them. The construction workers who are skilled and experienced are required in good numbers by any construction company or contractors and therefore their exit from your company is in a way can be looked at some kind of loss to the company. It can have a larger impact on the company if you do not manage to get a replacement in time and getting a replacement is one big challenge. The focus should therefore be on retaining your folks. Try and understand the core issue why they want to quit. This will help you know if others also have similar issues and if they have then that can be rooted out right at the beginning.

Projects are delayed due to lack of manpower:-

Crunch in manpower can be a significant problem for any industry and when it is about construction it can have a devastating effect on the project. There are numerous projects that are halted due to lack of workers or just because they have no workers at all. This is certainly not a good picture to portray. It shows how ineffective the management is that they can’t hold back their workers who play such a crucial role in the company. This can also have an impact on getting future projects. This all works in a circle and hence you got to get your things right from the very moment you sense trouble.

Boost the morale of the workers by giving awards:-

Giving awards and rewards should be a regular affair in your company. The management should pick the worthy employees and give them some kind of gift cards or cash prize or incentives every quarter. Please note that you do not pick the same guy/gal every time. Try to pick talents from various departments and give them their prizes. You can even do this with the contract laborers. This will motivate the employees and will bring down the attrition.

Market your work to big companies

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In the construction sector it is all about getting new projects one after the other. The moment you are done with one project you should ensure that you have another one in hand or else your labor will be idle. Although most of the labor force comes from the union but at times you hire the cream and make them a part of your company. So you can’t afford to be out of project at any given point in time. If you are a small construction company and have always taken up small projects, it is perhaps the time that you begin to try to get work from big companies.

Big construction companies usually require small companies and contractors to work on their project. They deploy very few of their labor force at work and give contracts to other small companies. It makes sense to take up work from them. This will give you the much needed exposure that you need to grow as a company.

Create a strong profile of your work:-

Before you approach to any of a giant construction company, you need to make sure that you have a strong profile of your company to put across. These big companies do not give contracts to any lay construction company. After all it is a matter of their reputation and they will not do anything to put it at stake and hence will acquire the best resource to complete the project. Now you have to prepare your profile in such a way that by having a glimpse of it they should appreciate it and should feel proud enough to have you as a part of their institution. You will ideally go to them with a Power-point presentation where you will mention the key projects that you have completed and your role towards the completion if you were not the sole player. Also talk about the types of heavy equipment you have at your disposal or can acquire them if you come across a bigger project.

Your experience should talk about you:-

If you are a company that is into the business for the last few years then you should talk about your experience and the different types of work your company has got into. If you specialize in a particular genre of work then that should be highlighted and spread it across the board that they will not find anyone doing the same work better than you. Design a website that looks professional and speaks volume about the construction world and also about the projects that you have been associated with. These big companies need you. All they want to make sure is that you are the right guy for them and this is exactly what you also need to pass it across to them.

The project undertaken by these giant companies last long which means that you are in business for that long. By the time you are associated with one such company, try to reach out to other companies by displaying your role in the current project. It will really help you to get new work.

 

Small construction companies should aggressively market their projects

The success of any business lies upon the fact that how aggressive you are in reaching out to the mass and sell your products to them. For start-ups it is crucial that they spend a lot of their time, money and energy in aggressively marketing their brand and to try to set up an image that will last for long in the minds of people. A start-up company has to face a lot of challenges from all corners while building a brand. They may not get enough resources who can do the job for them. There may be monetary constraints that they have to experience every now and then but they still have to carry on with it. Hurdles are part of any business and it is not with small business units who faces this but also the larger ones but they know how to tackle it with the help of their experience and for new companies they are in the learning mode so they may feel the heat more than the older ones.

Construction industry is quite a competitive and volatile industry where there are many players vying to stay afloat and making it big in the business. So if you are a small unit and are not restricting yourself to petty works, then you should take the approach which many big construction companies did when they were young in the industry. They marketed their work aggressively. They wanted people to know them through their work and have made use of all applications to create a space in people’s mind. This is what you got to do if you want to make a brand of your tiny company. Just talk about your work to people in the industry. Tell them what you are and what you are capable of doing. Show them the projects you have completed and the time you took to get it done. These important facts really matter a lot for a small unit to get more work and eventually turn into a giant.

Reach out to big companies:-

Big construction companies need you to complete their work. They give contracts to small construction companies and contractors. You should reach out to these giant companies who take up big projects and then look out for small companies to complete them. Take your company’s portfolio to them. Make a smart presentation that they can’t deny you the offer to work with them. This will give you the exposure to work in a big project and you can add that up in your portfolio. Once you get associated with a big project you will not have issues getting other projects. It is just that you have to prove your worth to them.

Make use of social media platform:-

With the help of social media you can reach out to a lot of people at the same time. They will know you for your work if you can effectively make use of this platform. Getting small work will never be a problem but you can aim for bigger projects if you can market your company well on social media.

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Invest your money in construction projects globally

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When we think about investments, we come across all sorts of investment avenues that are liquid as well as non-liquid. However, not many consider investing in construction projects globally as a good investment option. There are strong reasons attached to it which is why people are usually deterred to invest in investment projects in a foreign land. One of the strongest reasons is that you do not have a direct control on the project and it may become difficult to monitor the progress of the work by being away from the jobsite.

Other than having a direct control, other reasons also include political turbulence, company getting dissolved. However, these reasons can’t be considered to be too big for one to deter investing globally and can always be worked out before you end up investing in one such project. There are of course few Do’s and Don’ts that needs to checked first before taking a decision of any major investment in foreign land.

Check the viability of the project:-

You can definitely invest in projects that sound to be viable. Alternatively, if the project has all proper sanctions from the different authorities of that country, there is probably no other reason why it may get blocked. Investing in such projects being in a distant place can still be a good option. However, you also have to check your benefit in it. You need to first measure your risk and the returns that you can expect from the work at its completion. It will be worthy to take such risks where you know that it will fetch good returns. There are many American investors that have invested chunks of money into various foreign projects. In this case they do not have to deploy their men for the work and if there is any hurdle that shows up during the tenure of the project that will be managed by the construction company who has undertaken the work.

Reputation of the builder matters a lot:-

When an investor has to invest his money in construction projects, he definitely checks the credentials of the construction company who has taken up the work. In the same way, while investing in a construction project outside US, you have to check the credentials first. Meet the representatives of their company, do some research on their previous projects. By that you will get to know how big the construction company is and if it is prudent to invest in projects constructed by them. The reputation of the construction company should speak louder than anything else and that should be the signal for you to go ahead with them.

Stay away from countries that are politically unstable:-

You investments in a foreign land will bear fruit only if you put your money in a country that is politically stable and there is no fear of the government getting overthrown by rival political powers or the army of that land. Investment of any kind in a politically unstable country is too risky and not even worthy to take the risk.